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They declined one of my files today which is a Freddie Mac loan. The response I got was that they are not approving short sales for ANY loan, regardless of investor. Will be making a call to Freddie to confirm.

I wonder if they can do this. Freddie Mac dictates their protocol for loss mitigation I cant imagine the servicer can do that on their behalf. I get it that they have more leeway with investor loans not GSE owned but Fannie, Freddie, FHA have their own rules I would think.

I am also having issues with them. I have a home that needs repairs and I am requesting a two week extension. The negotiator keeps saying no extensions but the home does not even have a foreclosure sale date. I am confused to why they are not willing to work with us. Does anyone have any escalation contacts. I just filed a complaint with CFPB.

The more of us that file complaints the better. We received a response to our initial CFPB complaint in which Caliber denied that they have stopped doing short sales and actually stated that neither they nor their investors were required to follow applicable laws in the State of California. We have discovered that our investor had no idea that they were no longer doing loss mit on their files serviced by Caliber and were surprised (as were we) that Caliber would put in writing that they were above complying with State foreclosure and Servicing laws. I was even more surprised that Caliber had stopped doing loss mit work on federally backed loans..... I am guessing that this is simply Caliber's attempt to circumvent compliance with the CFPB's new guidelines that came out earlier this month.

I just had the same issue with Caliber Home loans. Their market value came back really high, we provided an engineer report and an appraisal along with an explanation letter to dispute their value and they declined the value dispute. We continue to market the property as requested by them and since we were not able to submit an offer on the value range requested they declined the shortsale and advised me that the only option at this point was to do a DIL. Here is the message that I received from their negotiator:

I would like to take this opportunity to tell you about a change in policy and how this change affects this property. As you are aware, all short sales are subject to lender approval. This account is no longer eligible for a short sale and we will not approve a loss. A full payoff will be required. We appreciate how hard you have worked to help our mutual client avoid foreclosure, and don't want you to spend any more time on a short sale that is not available. If a full payoff is not an option, we encourage you to assist the homeowner to agree to a Deed in Lieu, rather than a short sale. There is currently $xxxxxx incentive available for the homeowner for a completed Deed in Lieu. Attached is a Deed in Lieu application for the homeowner to complete and return to my attention at [email protected] or contact us at 866-650-0968 to discuss. If the homeowner wishes to pursue retentive options to remain in the property, they may contact our SPOC department at 800-401-6587 for other alternatives. Thank you for your efforts in assisting our customer.

I followed up to their response with a complaint with the CFPB and I wil encourage every agent to do so with Caliber Home Loans. We need to make sure the public is aware of this practice.

I have had a lengthy discussion with a loss mit rep at Caliber and he too is perplexed on this new policy. His Sr management gave them an explanation that they interpreted the new CFPB guidelines to conclude that due to the turn around of the housing market then there is no reason to offer short sale. Bottom line is this fight needs to be handled by N.A.R. that is what we are paying are dues for. Agents need to get on board and write to them, as I have, and address their concerns on this issue.

I did filed a complaint with CFPB and DOJ but I have not request any assistance from NAR. I will make sure to do so, since we need our voices to be heard and stop these servicers from abusing their authority.

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